Safety and Security

Flight Safety

Flight safety level of Aeroflot airline

Aeroflot airline's SAFA ratios

Flight safety and aviation security have always been a top priority for Aeroflot Group. The Group airlines have an integrated management system for flight safety and aviation security to ensure compliance with IOSA international standards and the Federal Aviation Rules of the Russian Federation.

Aeroflot airline's flight safety improvement along with a 7.2% increase in flight hours testify to high efficiency of the Company's safety measures.

0.21

Aeroflot airline's SAFA ratio

In 2015, as part of the Safety Assessment of Foreign Aircraft (SAFA) Programme, the European Civil Aviation Conference (ECAC) carried out its scheduled inspections of Aeroflot airline's aircraft. For fleet safety inspections, the SAFA Programme has set up a safety ratio with the standard value of ≤ 2. In 2015, Aeroflot airline's aircraft demonstrated a strong SAFA safety ratio of 0.21 (2014: 0.64). The Company's aircraft were recognised to be in full compliance with all the applicable safety regulations.

PJSC Aeroflot has an integrated management system the efficiency and effectiveness of which is regularly confirmed by independent external auditors. The core integration platform for the Company's management framework is its quality management system, which for many years has successfully passed certification audits under ISO 9001 (Quality Management System) and registrations under IATA's industry programmes (IOSA — Operational Safety Audit, ISAGO — Safety Audit for Ground Operations).

In February 2015, TÜV SÜD certification agency (Germany) conducted an external compliance audit of PJSC Aeroflot for compliance with requirements of international standards ISO 9001:2008 (Quality Management Systems) and ISO 14001:2004 (Environmental Management Systems). In May 2015, PJSC Aeroflot was audited under IOSA for compliance with the international operational safety standards (IATA Operational Safety Audit).

PJSC Aeroflot operates a system of supplier and vendor management through the IATA Provider Audit Pools providing for supplier due diligence across the route network:

ISAGO (Safety Audit for Ground Operations Pool);

IFQP (Fuel Quality Pool);

DAQCP (De Icing/Anti Icing Quality Control Pool).

To assess and improve flight safety, the Company also carried out internal audits of its corporate operating divisions. Employees are encouraged to inform the management of any safety issues on the condition of confidentiality. In addition, the flight safety department conducts daily analysis of feedback of air and cabin crew members on completed flights, with measures taken as necessary to address any identified issues. Throughout the year, much effort was also made to minimise the risks of unlawful interference, disruptive passenger behaviour, and environmental hazards, including bird strikes.

Aviation and Transportation Security

In 2015, Aeroflot airline continued implementation of an action plan to maintain a high level of aviation and transportation security, passenger and staff safety in close cooperation with airport security services, airlines, and law enforcement authorities. The Company's experts are actively involved in improving the Russian aviation and transportation security legislation.

As a member of the global SkyTeam Alliance, Aeroflot airline has long been engaged in its aviation security initiatives. In 2015, the Company organised a scheduled meeting of SkyTeam aviation security experts (Aviation Security Functional Experts — ASFE — group) held in October in Sochi. The event was well organised and ran smoothly, which further raised the airline's profile globally.

New aviation security programmes and measures

In 2015, the Aviation Security Department of PJSC Aeroflot piloted an Automated Aviation Security Management System (AA SEMS), providing access to aviation security updates for employees involved in security business processes. This system helps assess the actual status of the security system and its compliance with standards provided for by the airline's security programme, recommended ICAO and IATA standards, and laws of destination airport countries. AA SEMS information system has a modular design such that components can be added to meet the requirements of, and changes in, business processes of aviation security units and the Company.

To maintain a high level of aviation security the Company successfully operates a canine team. Aeroflot's integrated canine service is a biotech based security solution, which ensures consistent, regular inspections of the airline's infrastructure and vehicles and operates in a closed cycle — from reproduction of sniffer dog stock to training, to use in detection. This biotech based solution provides for olfactory monitoring of Sheremetyevo airport facilities to detect explosives and explosive devices.

In 2015, the Company achieved significant intellectual property developments in cynology:

Federal Institute of Industrial Property (FIPS) registered a patent for a new Method of Detecting Explosives and Other Target Substances;

INTERACTION WITH SUBSIDIARY AIRLINES

To ensure ongoing security information exchange the Company designed and introduced a weekly Aviation Security Status Report to be prepared by subsidiaries' facilities. Aviation security measures are communicated to the Company's subsidiaries on an as needed basis. Subsidiaries also receive quarterly results of monitoring and assessment of potential unlawful interference in PJSC Aeroflot's operations over the previous period, and the integrated risk matrix for the route network for the next period. We also monitor transactions of subsidiary airlines closed under aviation security services agreements.